Data privacy concerns with Worldcoin have led to investigations and suspensions in Spain, Germany, and other countries.
Worldcoin also agreed to pause all data collection in Spain until the end of 2024.
Despite challenges, Worldcoin's user base and number of transactions continues to rally
While bearish in the short term, Worldcoin's price may rebound by 114% at least, due to user growth and a possible technical breakout.
Worldcoin has been hounded by world governments since its official launch in 2023.
Currently, this human identity project is at the centre of several data protection probes from Germany, Spain, Hong Kong, Kenya, India and a host of other countries.
Let’s dive into the recent developments around Worldcoin, and whether or not its native cryptocurrency, $WLD Is truly finished.
One of the most well-known legal hurdles for Worldcoin so far has been the one from Spain.
This week, Worldcoin agreed to suspend all activities in Spain until the end of the year. And as things progress, several countries might be gearing up to follow suit.
The Spanish Agency for Data Protection (AEPD) announced this agreement in a recent press release, stating that it is now banning Worldcoin from collecting, processing or sending human data within the Spanish territory.
This suspension is expected to remain active until the end of the year, or until conclusions are reached in the ongoing probe.
Moreover, we also have a regulatory hurdle from the German data protection agency of Bavaria—the Bayerische Landesamt für Datenschutzaufsicht (or BayLDA).
BayLDA is reportedly probing Worldcoin actively, in an investigation that aims to make sure that the identity project is compliant with with data protection laws.
So far, most European data regulatory bodies are hot on Worldcoin’s tail, raising significant questions about the sustainability of said project.
Worldcoin has also taken steps to address these regulatory issues, including open-sourcing its biometric data system, deleting its old iris scans and allowing users to securely determine what happens with them, as well as the means to determine the age of its users.
This is despite the ongoing issues in Hong Kong, where the project was ordered, last month to stop all operations involving face and iris scans.
Interestingly enough, despite these regulatory hurdles, Worldcoin is still performing pretty well.
For example, in April 2024, Worldcoin hit an all-time high of around 10 million users and a staggering 70 million transactions.
The Worldcoin project has also launched its own blockchain, called the “World Chain,” in an apparent commitment to growth, despite the regulatory hurdles from left and right.
According to data from CoinMarketCap, Worldcoin is up by around 4% over the last day but is bearish over the weekly and monthly timeframes.
Worldcoin's price
Worldcoin’s price performance appears this way for good reason, as shown in the chart below:
Worldcoin’s price action
Worldcoin may not be finished after all.
Aside from its growing user base and number of transactions despite the regulatory hurdles, Worldcoin's price action has only appeared stagnant since, because it is currently consolidating above the ascending trendline shown above.
Judging by the look of things, the RSI signal line is attempting to breach the neutral zone, giving the Bulls a fairly even chance at pushing back against the bears.
The resulting price increase from a Worldcoin comeback would take the cryptocurrency up by a staggering 114%, to the $12 zone at least.
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